⚖️ WCLD vs SKYY Comparison · Free & No Signup

WCLD vs SKYY: Cloud Software vs Cloud Infrastructure — Same Theme, Different Cut

WCLD focuses on pure cloud software (SaaS) companies. SKYY includes both cloud infrastructure (AWS, Azure) and software — broader cloud definition, higher fee. Both target the cloud computing megatrend.

💰 WCLD is cheaper 🔬 Compare top 10 holdings → 💡 Plain-English verdict

🤝 BFF Take

WCLD Is Cheaper and More Pure-Play — SKYY Adds Infrastructure Giants

WCLD (WisdomTree Cloud Computing ETF) and SKYY (First Trust Cloud Computing ETF) both target the cloud computing sector but with different portfolio construction. WCLD focuses on pure-play cloud software companies — SaaS businesses that derive substantial revenue from cloud subscriptions (Salesforce, Workday, ServiceNow, Snowflake, Datadog). SKYY uses a broader definition that includes cloud infrastructure providers — this means Amazon, Microsoft, and Google have significant weight alongside software companies. WCLD costs 0.45%; SKYY costs 0.60%. WCLD's tighter definition means pure cloud software exposure without dilution from mega-cap infrastructure players. SKYY's infrastructure inclusion provides more stability (AWS, Azure) but makes it behave more like QQQ. Both have experienced significant volatility since the 2021 growth stock peak.

📋 Quick Takeaways

☁️WCLD = pure-play cloud SaaS — Salesforce, Workday, Snowflake, Datadog; no Amazon/Google/Microsoft influence

🏗️SKYY = cloud broadly — includes AWS (Amazon), Azure (Microsoft), Google Cloud; more infrastructure exposure

💰WCLD costs 0.45% vs SKYY's 0.60% — WCLD is cheaper with more concentrated pure-cloud exposure

📊 Data-Based Take: WCLD has the lower fee

Whether the lower-cost fund suits your situation depends on your existing holdings, account type, tax situation, and how you use each fund. This is a cost comparison, not a personalized recommendation.

✓ Reviewed by a CFA® Charterholder · Data as of Jul 14, 2026 · Educational only, not financial advice

WCLD

WisdomTree Cloud Computing Fund

Expense Ratio

0.45% ✓

1-Year Return

-3.7%

AUM

$245.2M

Holdings

SKYY

First Trust Cloud Computing ETF

Expense Ratio

0.60%

1-Year Return

+16.8%

AUM

$2.7B

Holdings

📋 WCLD vs SKYY — Key Facts Side by Side

Metric	WCLD	SKYY
Fund Name	WisdomTree Cloud Computing Fund	First Trust Cloud Computing ETF
Issuer	WisdomTree	First Trust
Tracks Index	BVP Nasdaq Emerging Cloud	ISE CTA Cloud Computing
Expense Ratio	0.45% ✓	0.60%
Cost per $10K/yr	$45.00	$60.00
AUM	$245.2M	$2.7B
Holdings	65	70
Inception	2019	2011
1-Year Return	-3.70%	+16.80%
3-Year Return	+3.55%	+23.70%
5-Year Return	-9.67%	+6.00%
Holdings Overlap	See holdings overlap →
Avg Bid-Ask Spread	0.04%	0.02%

Expense ratio, AUM, and returns updated Jul 14, 2026 from ETF BFF database. Returns are annualised. Not investment advice.

📊 WCLD vs SKYY — Annualised Returns

Annualised returns (trailing, price-based). Past performance does not guarantee future results.

🎯 Which Fund Fits Which Investor?

Often fits investors who...

WCLD

want the lowest fees: saves ~$15/yr per $10K vs SKYY
already use WisdomTree and prefer staying within one fund family

Often fits investors who...

SKYY

already use First Trust and prefer staying within one fund family

💰 What the Fee Difference Actually Costs

Adjust the numbers for your situation. This models each fund's expense ratio compounding against your balance over time.

Investment amount$ Years held Expected annual return%

Assumes a constant annual return reinvested, with each fund's expense ratio deducted yearly. Illustrative only; actual returns vary. Past performance does not guarantee future results.

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❓ WCLD vs SKYY — Frequently Asked Questions

What is the difference between WCLD and SKYY?

WCLD focuses on companies that generate the majority of their revenue from cloud-based software subscriptions (SaaS model). SKYY has a broader cloud definition that includes infrastructure-as-a-service (IaaS) providers — Amazon (AWS), Microsoft (Azure), and Google (Google Cloud) make up significant SKYY positions. This makes SKYY more like a diluted tech ETF; WCLD stays closer to pure cloud software.

Why have cloud ETFs underperformed since 2021?

Cloud software companies trade on future revenue growth expectations and have high price-to-sales ratios. The 2022 rate hike cycle dramatically reduced the present value of future cash flows, crushing high-multiple growth stocks. WCLD fell roughly 60% from its 2021 peak; SKYY fell somewhat less due to its infrastructure holdings. AI competition (companies building their own models) also raised questions about some SaaS business models.

Is cloud computing a good long-term investment?

Cloud computing is a structural megatrend — enterprise software migration to the cloud, AI/ML infrastructure, and digital transformation continue to drive spending. The question is valuation. After the 2022 correction, cloud software companies are more reasonably priced. The challenge is that the biggest cloud winners (AWS, Azure) are already large parts of QQQ and broad tech ETFs, so investors may already have significant cloud exposure without thematic ETFs.

Does QQQ capture the cloud theme?

Significantly — Amazon (AWS), Microsoft (Azure/Office 365), Salesforce, Alphabet, and Adobe are all large QQQ positions and all have major cloud businesses. QQQ at 0.20% provides substantial cloud exposure at one-third the fee of SKYY. Pure cloud software investors who want to overweight SaaS companies beyond QQQ's natural weighting should look at WCLD or CLOU (0.68%) — but accept higher fees and concentration.

What is CLOU ETF and how does it compare to WCLD and SKYY?

CLOU (Global X Cloud Computing ETF) is a third cloud ETF option at 0.68% — more expensive than both WCLD and SKYY. CLOU focuses on companies that operate or use cloud infrastructure including some pure-play SaaS. All three (WCLD, SKYY, CLOU) have had similar performance profiles and were hit hard in 2022. WCLD and SKYY are the more liquid choices; WCLD is the cheapest and most focused on pure cloud software.

New to ETF investing? See answers to the most common ETF questions →

📄 WCLD & SKYY Fact Sheets

WCLD Fact Sheet→ SKYY Fact Sheet→

ℹ️ Data shown is for educational purposes and may not reflect the most current figures. Returns are trailing price-based and exclude dividend reinvestment. Past performance does not guarantee future results. ETF BFF is not a licensed financial advisor — this is not personalized financial advice.